MBBP Q1 2012 VC Spotlight: Seed Convertible Note Discounts; Superior Court Ruling on Noncompetition Agreements

Seed Convertible Note Discounts: Reconciling “Stock” and “Liquidation Preference” Premiums By: Jonathan Gworek Convertible notes have become the security of choice for early stage startups looking to raise seed capital. Convertible notes are perceived to be a simpler alternative to preferred stock. When a convertible note converts, it typically does so at a discount to …

Continue reading MBBP Q1 2012 VC Spotlight: Seed Convertible Note Discounts; Superior Court Ruling on Noncompetition Agreements